What management theory perspective is characterized by highly specialized work?

Classical management theory assumes the employees are motivated by financial and physical drives and therefore concentrates on decision-making authority and power at the top while having a highly specialized workforce lower down the order.

The management theory aims to make production more efficient. Classical management theory strives to optimize profits and improve the bottom line. It is a very scientific management theory. It discounts their job satisfaction and their social interactions.

This management theory was very popular from the 1900’ to the 1950s. Its origins were in the 19th century. Over time, it has gone out of vogue. Since then, other management theories have taken different approaches. However, the smaller-scale manufacturing-driven organizations can still use some of the ideas put forth by classical management theory.

Concepts of Classical Management Theory

1. Incentives

The classical management theory stresses the need to give employees rewards according to how hard they work. The management theory claims that managers can get workers to put in more effort through pay incentives and maximize profits through efficient production. Thus, it puts its faith in financial rewards.

2. Hierarchical Structure

In classical management theory, the highest level of the management hierarchy comprises of c suite executives, board of directors, etc. The aim of this top tier is to set the larger goals. The more divisional level goals are set by the middle management.

They have to guide operational managers while making the optimal use of the budget set by the top tier. Finally, the more mundane, daily decisions are taken by the low-level managers. These are the employee supervisors who interact with them and train them. The scientific management theory sees authority distributed in this three-tier structure.

3. Specialization

The classical management theory takes an approach where the larger objective is reduced to a set of smaller objectives. The aim here is to maximize efficiency and effectiveness. Employees have a single responsibility about which they are thoroughly knowledgeable.

This has the effect of reducing multitasking. This scientific management approach designed specialization to cater to businesses with an assembly line perspective towards business and objectives.

Advantages of the Classical Management Theory

The classical management theory has decreased in terms of popularity. However, some of its principles can greatly benefit present-day businesses. Some of these are mentioned below:

1. Clarity on employee responsibilities

The classical management theory advocates the need for specialization. Responsibilities are delegated to workers according to their expertise and experience. This boosts efficiency as workers clearly know what is expected of them. They are not spread thinly, having to multitask. The tasks and responsibilities of the workers are distinctly mentioned.

2. Distinct hierarchical Structure

The classical management theory pushes for a hierarchy of management that has three clear tiers. This way, there is complete clarity on what every manager has to do. In addition, the targets and responsibilities of the managers are also well defined.

3. Concentrated decision making

Classical Management Theory proposes that the crucial decisions in a business be taken by a few leaders at the top, if not only one. For smaller businesses, this is an evident approach.

However, even businesses that have to respond swiftly to developments can use this. These businesses have employees and managers who are alerted about the decisions taken by the senior management.

4. Financial incentives boost efficiency

The classical management theory put forward that organizations should design multiple incentives so that employees can avail themselves by boosting their efficiency and also increase productivity. This is because the management theory stresses the belief that workers are driven by financial and physical needs. Therefore, it allows them to motivate the workforce easily. The benefit here is that employees know that their extra efforts are being appreciated.

Disadvantages of the Classical Management Theory

Like all other management theories, classical management theories have its drawback. The scientific management approach might not be applicable in every type of business. The drawbacks of classical management theory are listed below, which might help better in deciding which management style to apply:

1. Workers are more stressed

The classical management theory can cause workers to become demotivated and under pressure. As a result, they might stress themselves out trying to get a task done on time. The management theory, after all, only focuses on the workforce’s output efficiency and performance.

2. Discourages new thoughts and ideas

Management theory tries to optimize productivity by relying on only one approach. Innovation is thus hindered, and the organization fails to progress in multiple avenues. Employee innovation is also curtailed, and they are less likely to contribute their ideas.

3. Human connections and job satisfaction are ignored

Classical Management Theory overlooks the job satisfaction aspect of motivation, including human relations. This is a crucial aspect for most employees. The scientific management approach concentrates too much on the different physical needs.

The classical management theory ignores that workers might want to approach their responsibilities innovatively. It ignores the need for human relations at work. So businesses that need innovation and co-operation and communication should best avoid this management theory.

Tips for implementing the Classical Management Theory in your business

There are various ideas that can make the process of applying the classical management theory smoother. They can help yield maximum results from the approach.

1. Multiple worker incentives

Workers should have their efforts acknowledged and appreciated. They should be given multiple incentives. This way, they become more efficient and driven.

2. Think over responsibility delegation

The managers must understand the expertise of each worker. They must be assigned tasks accordingly. The only way to get to the targets is to make sure that employees are given tasks in which they are proficient.

3. Maintain standard procedure

A standard procedure should be made that highlights the targets of the task and the stipulated time period the task gets. Furthermore, these standard procedures should be made for every single responsibility in the workplace. This way, there is complete clarity over what sort of responsibilities each worker has and the objective they must reach.

Shift away from Classical Management Theory

Frank and Lillian Gilbreth, along with Henry Gantt and Frederick Taylor, launched studies investigating the processes adopted by employees to get their tasks done. These studies were conducted over the course of the first half of the 1920’s. They investigated the exact actions the workers would take, along with focusing on the time period over which they could complete their objectives while adopting various different approaches. The data collected from these studies were then analyzed.

The classical management theorists tried to find the most efficient approach to getting a task done. Their aim was to bring the scientific process into the analysis so that they could discover the optimal way to specialize and distribute tasks. They also wished to stress on finding the sort of skills that various workers can have that can help the organization achieve maximum efficiency and effectiveness. However, there had been increasing criticism of the classical management theory’s approach to organization. There was a growing awareness that the theory was harmful to the workers.

The main aim of the scientific management approach, to optimize the efficiency of the work process, was not its weakest link. Rather, the flaw was in the fact that the management theory had an underlying assumption, that workers and managers would be equally invested in the process of standardization of the workplace. The classical management theorists had banked on the idea that they could alter the mental approach that the workers and managers took to their work by focusing on standardization.

However, critics pointed out that this had not happened. On the contrary, the managers following the scientific management approach had increasingly begun to see the employees as dispensable parts of a much larger picture. Standardization of human beings was not possible. This could only be done with the work processes and various pieces of machinery. Taylor and his colleagues, nevertheless, kept focusing on the processes of standardization. However, other researchers moved on. The stress of the management theories became increasingly worker-centric. This gave birth to the neoclassical theory of management. This was more of a behavioral management theory which gave rise to a human relations movement.

Conclusion

Classical Management Theory was developed in the 19th century to help cater to manufacturing businesses that focused on assembly-line methods of production. Its aim was industrial management. This management theory pulls largely from the scientific method. It would gain increasing acceptance over the course of the first few decades of the 20th century. A large part of the scientific management approach was based on the assumptions that workers are best motivated by financial incentives and that the ideal approach is to cater to their physical and economic needs. It believed in a few basic principles. This includes the specialization of jobs where employees have specific roles ascribed to them with little room for multitasking.

The decision-making power was also concentrated at the top, often at the hand of a single individual. The management itself would have a three-tiered hierarchy: c-suite level managers at the top, the divisional heads in the middle, and the supervisors who preside over the employees at the bottom. It was a scientific management theory that focused on the most efficient way to introduce standardization of the workplace.

However, there were drawbacks to this approach. As the 20th century wore on, it would be increasingly understood that employees have emotional needs as well. They crave human relations in the workplace, and job satisfaction is of greater importance to them. These revelations would cause the decline of the classical theory of management. To address its drawbacks, the neoclassical management theory and other management theories would emerge.

In spite of its disappearance in large-scale businesses now, some salient features of the classical theory of management are still helpful. Smaller businesses, for example, benefit from the concentration of the decision-making powers at the top. There are also businesses that have to be flexible and respond quickly to developments. The concentration of decision-making power speeds up that process.

The abundant use of pay incentives can also serve as one of the motivators for modern employees at the workplace. Also, specialization ensures that there is complete clarity of the roles and responsibilities of each and every individual worker. Thus, the need for multitasking is not felt. Simultaneously, the management is also clearly divided into a three-tier hierarchy. This way, the managers are also assured of what the scope of their roles and responsibilities is restricted to.

However, conversely, the job satisfaction of the worker is completely overlooked. There is little to no communication at the workplace. This prevents the formation of human relations that all workers crave. The workers have little place in the decision-making process. It also stifles innovation at the workplace.

All these can be the motivating factors for the workforce. Additionally, in practice, the manager ends up seeing the worker as a dispensable spoke in a much larger machine. The dehumanization of the workers and the stress on the optimization of efficiency and effectiveness means the workers are under much more pressure.

What management theory is characterized by highly specialized work?

What is the 5 theories of management?

What are the 4 management theories?

What management theory is focused on finding the most efficient way for workers to perform job duties?